PKG stock: buy or sell?

PKG stock price: $101.12 -0.13% At close on August 22nd, 2019

Updated on:
August 22nd, 2019

2

Packaging Corporation of America closed today at $101.12 and stayed stable a tight -0.13%.

Packaging Corporation of America manufactures and sells containerboard and corrugated packaging products primarily in the United States.

Should I buy PKG stock?

Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. Trading strategies are meant for helping you in the decision process of what stocks to choose and when is the best moment to buy them. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

Currently, Packaging Corporation of America stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean PKG will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is Packaging Corporation of America stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we collected 9 ratings published for PKG stock in the last 30 days.

Is PKG a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-7-15KeyCorpSector WeightUnderweight
2019-7-12Seaport Global SecuritiesBuyNeutral
2019-6-24UBS Groupn/aBuy
2019-5-15UBS Groupn/aBuy
2019-4-5Bank of AmericaBuyBuy
2019-4-25KeyCorpn/aHold
2019-4-16Bank of AmericaBuyNeutral
2019-1-9Wells Fargo & CoOutperformMarket Perform
2019-1-7CitigroupNeutralNeutral

PKG stock analysis

Daily outlook

Packaging Corporation of America stayed stable a tight -0.13% and closed at $101.12.

Shares of Packaging Corporation of America stayed steady a tight -0.13% and closed at $101.12. Since June when PKG stock price broke up the SMA200d line, it gained $7.16 (7.62%). Since June when SMA100d and SMA200d crossed up, PKG price gained $6.21 per share (6.54%).

PKG stock chart (daily)

Weekly outlook

Shares of Packaging Corporation of America closed this week at $101.12 and remained stable a neutral -0.16%.

Packaging Corporation of America stock is drawing an uptrend with rising tops and bottoms. Now trading in between its last bottom and last top, PKG might consolidate in a flat-base, waiting to break out over or down under . Since late May when SMA20w and SMA40w crossed up, PKG price gained $10.86 per share (12.03%). Stocks under the 200d moving average line are usually not recommended for average traders.

PKG stock chart (weekly)

PKG stock price history

PKG stock went public on January 28th, 2000 with a price of $7.051. Since then, PKG stock grew a 1,334.30%, with a yearly average of 70.20%. If you had invested right after PKG's IPO a $1,000 in PKG stock in 2000, it would worth $13,343.00 today.

1: Adjusted price after possible price splits or reverse-splits.

PKG stock historical price chart

PKG stock reached 52-week highs on September at $115.98, and all-time highs 2018-01-26 with a price of 125.55.

PKG stock price target is $99.50

Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, many stock price predictions are published every day by banks, financial institutions and independent analysts. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. We have 6 price forecasts for PKG stock posted in the last month:
PKG stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-7-15KeyCorpDowngradesn/a$89.00-
2019-6-24UBS GroupSet Price Targetn/a$106.00-
2019-5-15UBS GroupInitiatesn/a$109.00-
2019-4-5Bank of AmericaReiterates$105.00$112.006.7%
2019-1-9Wells Fargo & CoDowngrades$110.00$93.00-15.5%
2019-1-7CitigroupLowers Target$98.00$88.00-10.2%
(in average)$104.30$99.50-5.0%
Moving in a range from $112.00 and $88.00, the price forecast for PKG stock is $99.50. In average, analysts' outlook on PKG price target is negative, downsizing the prediction by a -5.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

After posting its last earnings report on April, Packaging Corporation of America raised a decent 4.43%. Unfortunately, reported EPS is not yet available in our database.
PKG earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a1.52n/a
2017-Q32017-10-251.681.680.0%
2017-Q42018-01-301.511.563.3%
2018-Q12018-04-241.531.551.3%
2018-Q22018-07-251.972.085.6%
2018-Q32018-10-242.152.233.7%
2018-Q42019-01-292.152.170.9%
2019-Q12019-04-221.97n/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, Packaging Corporation of America annual turnover rose a very good 8.84% to $7,014.60 M USD from $6,444.90 marked in 2017. Nevertheless, its profit margin (compared to sales) remained constant to 10.52%, that is $738.00 million.

To have an up to date picture of the financial situation of Packaging Corporation of America, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual Packaging Corporation of America TTM sales up to March 2019 were $7,057.60 and earnings were $784.70 million dollars. If we compare this TTM figures with the last reported annuality, we can esteem Packaging Corporation of America business evolution since December 2018: Annual revenues up to March, compared to lastest yearly report, stayed constant a slightly fine 0.61%. In the same way, profit margin (net income/revenues) stayed stable at 10.52%.

PKG annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$3,670 M-$436 M11.9%-
2014$5,853 M59.47%$393 M6.7%-10.01%
2015$5,742 M-1.89%$437 M7.6%11.26%
2016$5,779 M0.65%$450 M7.8%2.93%
2017$6,445 M11.52%$669 M10.4%48.71%
2018$7,015 M8.84%$738 M10.5%10.38%
TTM $7,058 M0.61%$785 M11.1%6.33%

Quarterly financial results

Packaging Corporation of America reported $1,733.70 million in revenues for 2019-Q1, a -0.73% decline compared to previous quarter. Reported quarter earnings marked $186.80 million with a profit margin of 10.77%. Profit margin stayed constant a -0.94% compared to previous quarter when profit margin was 11.71%. When comparing sales to same quarter last year, Packaging Corporation of America sales marked a slightly good increase and stepped up a 2.55%. Looking back to recent quarterly results, Packaging Corporation of America posted 2 negative quarters in a row.
PKG quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$1,580 M-$142 M9.0%-
2017-Q3$1,640 M3.80%$138 M8.4%-2.82%
2017-Q4$1,684 M2.70%$269 M16.0%94.86%
2018-Q1$1,691 M0.37%$140 M8.3%-47.90%
2018-Q2$1,768 M4.55%$187 M10.6%33.19%
2018-Q3$1,810 M2.40%$207 M11.4%10.77%
2018-Q4$1,747 M-3.50%$205 M11.7%-1.02%
2019-Q1$1,734 M-0.73%$187 M10.8%-8.70%

Packaging Corporation of America ownership

When you are planning to invest in a stock, it's always worth to check its ownership structure.

Packaging Corporation of America shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 1.24% of all shares.

Bearish positions for PKG stock account 0.00%, no big difference from last month.

For a better understanding, the following table shows ownership data compared to other related companies:

PKGCLWGLTGPKIP
Market cap$9.6 B$269.3 M$639.3 M$3.9 B$15.5 B
Total shares94.5 M16.5 M44.1 M295.3 M397.3 M
Float shares92.5 M16.2 M43.2 M275.3 M386.4 M
  - Institutional holdings (%)89.6%89.5%102.7%118.9%83.5%
  - Insider holdings (%)1.2%3.0%2.0%0.8%0.3%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

PKG summary

Thursday, August 22nd, 2019
Open$101.45
Close$101.12
Day range$100.46 - $101.81
Previous close$101.25
Session gain-0.13%
Average true range$1.99
50d mov avg$98.81
100d mov avg$97.47
200d mov avg$94.99
Daily patternlt11a
Weekly pattern lt06a

Packaging Corporation of America performance

To measure stock performance is always good to compare with competitors or related stocks. For Packaging Corporation of America, the benchmark is made against Clearwater Paper, , Graphic Packaging, International Paper and Westrock.
Stock3m6m12m
PKG12.03%4.55%-5.66%
CLWClearwater Paper-9.19%-51.89%-43.30%
GLT-3.14%4.69%-18.35%
GPKGraphic Packaging4.95%6.29%-4.30%
IPInternational Pap...-7.62%-14.47%-21.19%
WRKWestrock-2.18%-12.17%-36.40%

Packaging Corporation of America competitors

One check before trading any stock is to have a look a list of its competitors, in this case for Packaging Corporation of America. We chose 5 companies as Packaging Corporation of America competitors as they are in the same industry or have similar market objectives.

Latest PKG stock news